Telegram Purged Chinese Crypto fraud market – Seen as it was rebuilt afterwards
Before they were defeated by Telegram, the Xinbi Warranties and Haowang Warranties displayed similar posts that explicitly provide illegal services in all these categories and so on. Similar to the new dominant Tudou guarantee, other “guaranteed” marketplaces did not sell the service directly, but instead offer escrow and deposit features that prevent vendors from deceiving customers.
When Wired asked Telegram in May Report from Elliptic Telegram focuses on the Crime Supply of Xinbi Guaranteed, Wide purge: Not only Xinbi’s accounts, but also the accounts of Haowang Guarantee, a much larger market that had been on for three years, were banned, allowing for around $27 billion in transactions and selling fraudulent industrial services as much as batons and shackles used to incarcerate forced workers of fraudulent compounds.
Telegram spokesman Remi Vaughn wrote in a statement sent to wired at the time that “all Wired or the communities contained in the report published by Elliptic have been removed,” adding that “criminal activities such as fraud and money laundering are prohibited by Telegram’s terms of service and are always removed when they are found.”
However, since then, Elliptic has continued to share research findings on apparent money laundering activities in 10 markets, including Tudou guarantees, in a telegram group that includes wired reporters and telegram spokesmen. However, Telegram did not remove accounts related to the black market, which emphasized ovals. The Xinbi Guarantee was actually rebuilt with a new account without even rebranding. Despite Telegram itself saying that market content violates the terms of use, it still does not face a ban on new accounts.
In a statement to Wired, a Telegram spokesman defended the company’s obvious decision not to ban rebound black markets. “The channel in question involves mostly Chinese users, where strict capital management often makes few choices for citizens other than looking for alternatives to move funds internationally,” the statement said. “We will evaluate reports on a case-by-case basis and deficiently refuse to ban blankets, especially if users are trying to avoid the oppressive restrictions imposed by the authoritarian regime. We are unshakable in our commitment to protecting users’ privacy and preventing fundamental freedoms, including the right to financial autonomy.”
Robinson of Elliptic refuses to argue that. “We’ve been studying these markets for nearly two years, and it’s not about helping people achieve economic autonomy,” says Robinson. “These are markets that promote money laundering primarily for the revenues of fraud and other illegal activities.”
Erin West, a former prosecutor who leads Shamrock, a nonprofit organization that focuses on obstructing Crypto fraud businesses, describes her accusations against Telegram more simply. “These are bad guys and enable bad guys’ businesses on bad guys’ platforms,” West argues. “They have the ability to shut down fraud economy and human trafficking. Instead, they’re hosting Craigslists for crypto fraudsters.”
Jacob Sims, a visiting fellow at Harvard’s Asia Center, said that Telegram’s consistent approach to banning the black market for crypto fraud may not have much to do with the principles of “financial autonomy.” In early May, the US Treasury Department’s Financial Crime Enforcement Network was officially labelled Fuione Group A.Main Money Laundering Concerns. “Sims directly referred to the Haowang warranty, but argues that the designation specifying the Tudou warranty, rather than the Tudou warranty, could have led the telegram into action.
“In the end, last month’s crackdown shows just how destructive a destructive telegram is when working together, but how quickly a con man adapts,” says Sims. “Unless law enforcement brings specific cases, there is no actual legal negligence for tech companies in terms of what happens on the platform. So until that changes, I don’t know what incentives they have to be proactive.”